To default in the legal process means that, despite appropriate request by the court, one party fails to provide written submission or fails to appear at a hearing. The consequences of default vary depending on whether the defaulting party is the plaintiff or the defendant and the point in the proceedings at which default occurred.
Default in arbitration proceedings:
- Default by the plaintiff: the petition for arbitration proceedings is deemed to be withdrawn; the proceedings are cancelled as groundless.
- Default by the defendant: the arbitration authority proceeds in the same way as if no agreement was reached between the parties.
Default in the main proceedings:
- Failure to submit a statement of defence: In the event of failure to submit a statement of defence, the court grants a short period of grace to the defending party. Should no response be received by the end of the period of grace, the court takes a final decision, provided that the matter is ripe for decision. Otherwise it issues a subpoena for the main proceedings.
- Default in the main proceedings: If one party defaults, the court takes account of the submissions made. However, it can also base its decision on the submissions of the parties present. If both parties default, the proceedings are cancelled as groundless.